As we move into 2021 and the continuing spread of the novel coronavirus pandemic, digital payment technology has been accelerating at an unprecedented rate. With the creation of contactless or online payment solutions becoming increasingly popular due to the ease and convenience of these methods, new innovative methods of transferring money have come to the forefront. This article will provide an overview of the developments in digital payment innovations post-COVID and explore some of the potential advantages these new technologies could bring. The coronavirus pandemic has been a major catalyst for digital payment innovation both in the way consumers pay and the way businesses accept payments.
Contactless payments have become even more popular with the rise of pandemic-driven social distancing. Many merchants have resorted to contactless technology to allow customers to purchase their wares without handling the same currency or card for too long. Apple Pay, Google Pay and Samsung Pay are now accepted by major retailers to reduce contact with both the payment and the consumer.
Payment providers have also seen an increased demand for mobile payment techniques — like mobile wallets and apps — as a way to make transactions easy and convenient. Apple Pay Cash, Zelle, Venmo, and Cash App are just a few examples of mobile apps that have seen an uptick in usage during the past year.
There have been major advances in biometric payment technology, which is designed to make the user experience even more secure and seamless. Fingerprint sensors and facial recognition have been implemented into payment systems, allowing for frictionless authorization of transactions.
Finally, tokenization of data has enabled improved security measures, as more merchants are avoiding the storing of consumer data and replacing card information with tokens. This methodology helps reduce the risk of fraud and identity theft, and is becoming a popular choice with vendors.
Overall, the coronavirus pandemic has been a major catalyst for digital payment innovation, leading to more secure and convenient payment methods for both consumers and merchants.
